Suppose we told you that investing in private label packaging was a surefire way to increase customer loyalty and sales from your dropshipping operations.
Many people believe it is no longer worthwhile to engage in dropshipping due to the industry’s radical transformation over the years.
With so much rivalry, marketing campaigns are getting more and more costly every year. Additionally, it’s no longer practical to construct a new, dedicated online store for each new product release.
These days, the surest path to long-term success in the drop-shipping industry is to establish your business as a recognized brand.
In this article, we’ll explain why private label packaging is the best strategy to increase sales and customer loyalty, and how it can be implemented quickly and at low cost.
The PROs of Private Label Dropshipping
If you want to set yourself apart from the competition, you’ll need to provide something unique to the market. It’s not enough to simply sell a product; you also need to sell a lifestyle and an emotional experience, and you can only do that by establishing a strong brand. The name that will be recalled by customers at the precise moment they require your service.
The key to a successful business is a loyal customer base, so it’s crucial to work toward that end.
Profits and advertising expenses can both be boosted by catering to customers who have already shown interest in your brand. What’s more, an increase of just 5% in the percentage of customers who buy from you again would result in a 25% increase in profits.
Furthermore, if you own a dropshipping business? The key to success in personal branding lies in learning how to do it yourself.
It’s simple; just do any of the following:
Making a Profit Off of Private Labeling
Providing Private Label Packaging for Shipped Goods
However, as many of you are aware, it is impossible to have your dropshipping products customized with your logo or for you to have them shipped in branded packaging if you buy them from sellers on AliExpress or similar marketplaces. Since these marketplaces focus on the business-to-consumer trade, they don’t provide this option because it’s difficult to customize orders with a logo or packaging that isn’t theirs.
Private Label Products Vs Private Label Packaging
Many current-day dropshippers, then, are on the lookout for an effective method of peddling private-label wares, with the hopes of establishing their own identities in the marketplace and enticing customers to stick with them.
However, it can cost a lot of money to have your logo put on dropshipped products. There are high minimum order quantities (MOQs) involved, and it’s not as simple to set up as it might seem at first.
You would first need to find a Chinese supplier who is willing to put your logo on their products, then you would have to try to communicate with the Chinese suppliers who, often, have a very limited English vocabulary in order to explain the size, color, and position where you want the logo printed.
If you have a lot of products on your site that aren’t moving, it’s probably not a good idea to put your logo on them. For this reason, in the beginning, you should prioritize adding your private label solely to your best-selling items.
Many seasoned dropshippers follow the best practice of transporting their products in discreet packaging bearing their own labels.
Actually, the same upbeat message can be communicated to customers when dropshipping with your own packaging.
The addition of your brand’s logo to your packaging will help you stand out from the crowd even amongst specialty retailers. Given the low costs of production and shipping from China, anyone can theoretically benefit from dropshipping. However, only those who are truly dedicated to their business will spend money on marketing and promotion in addition to developing a top-notch product.
The customers will recognize your efforts and will return to your store.
The PROs Of Dropshipping With Your Own Packaging
Using private label packaging has many advantages:
It’s a more cost-effective option, as one can easily locate custom bags for $0.20 each;
It’s convenient because one bag or box can hold a wide variety of items.
You can buy your dropshipping products individually; you don’t need to buy product stock, just a little stock of packaging.
It’s a versatile choice because it allows you to keep using the same packaging even if you alter the product you’re selling.
Either the product’s packaging or a tote bag could be personalized.
First, if your products come in a variety of sizes, check that they all fit comfortably inside the box. If you don’t have enough boxes in the right sizes, you may need to purchase more.
If, on the other hand, you opted to make your own shopping bag instead (while still having the option to choose the size you prefer), you wouldn’t have to worry as much about the varying dimensions of your products, and you’d save money in comparison to using boxes.
Custom packaging for dropshipped items can be arranged with minimal out of pocket expense. You can then begin establishing your brand and expanding into new markets with the proceeds from these lucrative investments.
To really impress your customers, you should think about including a “Thank You Card.” This method has been shown to increase customer retention rates.
You don’t need to spend thousands of dollars imprinting your logo on each and every product you sell; instead, all you need to do is send out customized packaging and thank you cards.
Custom Packaging for Dropshipping: Where to find them
You can increase customer loyalty, repeat business, and revenue with minimal investment by dropshipping using your own custom packaging.
However, where do I go to locate vendors who provide this? This isn’t as simple as it sounds, right?
You probably work with a wide variety of vendors to get your orders fulfilled. You must first: if you want them to use your branded packaging when storing your goods; and if you want them to use your branded packaging when
Ask them if they provide that kind of service.
settle on the additional fee that you know they’ll ask you to pay;
Give them a supply of your individualized packages, which you will need to print before sending.
There are so many potential problems here that it’s hard to even name them all. Since it’s likely that you don’t actually live in China, communicating with Chinese suppliers could prove to be challenging. Since they usually don’t have a solid grasp of the English language.